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The Hidden Risks of Renting Out Your Home: What Oklahoma City Landlords Should Know About Insurance5/6/2025
 When Lisa moved to Norman for a new job, she decided to keep her Oklahoma City house and rent it out for extra income. She figured it was simple—just get a tenant, collect rent, and watch the money roll in. But six months later, she got a call: a water pipe burst, flooded the kitchen, and her tenant was threatening legal action for damaged property and lost use of the home. Lisa quickly found out her regular homeowners policy wasn’t going to cover the mess. If you’re thinking about renting out your house—or already have a tenant in place—you need to understand how different the insurance situation is for landlords. It’s not just about protecting the property. It’s also about protecting yourself from the risks that come with being a landlord in Oklahoma. Let’s break it down. Homeowners Insurance Doesn’t Cover Rental PropertiesIf you're renting out your house—even just one room—you’ve changed the way your home is used. And that changes your insurance needs. A standard homeowners insurance policy is designed to cover homes where the owner lives full time. Once you rent out the property, even part-time, your risk profile changes. There’s more foot traffic. More wear and tear. Less control over what’s happening on your property. Your insurance company sees that as a different risk altogether. If you keep the wrong policy in place, you could be left paying out of pocket when something goes wrong. What Is Landlord Insurance? Landlord insurance (also called a dwelling fire policy) is built for non-owner-occupied homes. It still covers damage to the structure from things like fire, wind, hail, and vandalism—but it adds extra protections that homeowners policies don’t include. What It Covers:
The cost is usually a bit higher than a homeowners policy, but you’re paying for added protection that matches the risk of renting out your property. Liability Is a Bigger Deal Than You ThinkImagine your tenant’s guest trips on the loose front step and breaks their ankle. Or the faulty wiring causes a small fire, and the tenant’s belongings are damaged. If you get sued, your landlord policy’s liability coverage can make or break your financial stability. Tenants have rights, and Oklahoma has specific laws about habitability and safety. If something on your property causes harm and you didn’t fix it in time—or weren’t aware of the issue—you could still be on the hook. Landlord liability insurance helps pay for legal defense, medical bills, and settlements. That’s not something your old homeowners policy would have done. What About Short-Term Rentals?Got a house in Oklahoma City or Edmond that you rent out on Airbnb or Vrbo? That’s a different ballgame. Many landlord insurance policies won’t cover short-term rentals unless you add specific endorsements. That’s because turnover is higher, and the chances of property damage or liability issues increase. If you’re running a short-term rental, you’ll likely need a special policy or add-on that covers that use. Some companies now offer hybrid policies just for short-term landlords, but not all do. That’s why it’s important to talk to an agent who understands the difference. Your Tenant’s Belongings Aren’t CoveredOne common mistake landlords make is assuming their policy covers the tenant’s stuff. It doesn’t. If a fire or water leak ruins your tenant’s furniture or electronics, your landlord policy won’t pay for that. That’s the tenant’s responsibility, and they need a renters insurance policy to protect their own belongings. Some landlords require proof of renters insurance in the lease. It’s a good idea—and it can keep you from getting dragged into disputes over personal property losses. You Still Need to Maintain the PropertyLandlord insurance doesn’t cover damage caused by neglect. If your roof leaks because it’s 30 years old and never maintained, don’t expect a payout. Insurers expect landlords to keep their properties in good condition. That means regular inspections, prompt repairs, and taking care of things like pest control, smoke detectors, and plumbing maintenance. Insurance is for sudden and accidental problems—not long-term issues that could have been prevented. Vacancy Can Create Coverage GapsIf your rental sits empty for more than 30 to 60 days, your insurance could drop or reduce coverage. Most landlord policies limit what they cover if a property is vacant for too long. Why? Because empty homes are more likely to be vandalized, burglarized, or suffer unnoticed damage (like a slow water leak). If your tenant moves out and the home sits for a while, let your insurance agent know. You may need a vacant home policy during that time. Get the Right Insurance Before You RentIf you’re getting ready to list your home for rent—whether short-term or long-term—make sure your insurance is ready before the lease is signed. It’s a lot easier to set up the right policy beforehand than to deal with denied claims after something goes wrong. This also gives you time to talk through questions like:
An independent insurance agent can walk you through all of this. Protecting Oklahoma Landlords Starts with a ConversationWhether you're renting out a home in Moore, running a short-term rental in Oklahoma City, or managing several properties in the metro area, landlord insurance isn’t optional—it’s protection built for your new role. At Oklahoma Insurance Professionals, we help landlords like you get the right coverage, from basic dwelling protection to liability and rental income replacement. As an independent agency located right here in Oklahoma City, we work with multiple insurance carriers to find options that fit your property, your tenant situation, and your budget. Want to make sure your rental is protected the right way? Get in touch with us today for a quote on landlord insurance from Oklahoma Insurance Professionals—serving Oklahoma City and surrounding communities with personalized insurance solutions for your home and business needs.
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